Coronavirus Impacts Apple’s Manufacturing And Supply

Thanks to the coronavirus pandemic, Apple has recently experienced many manufacturing issues and supply stagnation.

A recent study is currently adding fuel that says Apple is ‘scrambling’ to avoid product delays. This is because the technical team from Apple were unable to fly to China to test the assembly of the iPhone prototype due to existing limitations on fly in the US.

They had to deal with video calls to direct them online on iPhone prototype assembly with their Chinese colleagues.

Apple is currently struggling to remain on its production cycle schedule according to the latest WSJ report. A former employee reports that components and camera module orders are usually issued in March and April for next-gen iPhone models so production starts in the summer months.

However, due to lockout constraints the process of product creation has become complicated. Apple is holding video call conferences with its Chinese staff to ensure there is no launch delay and also allows engineers to take unreleased launch prototypes home.

Despite the expansion of the Chinese supply chain, US travel lockdowns are making things more complicated. The report also notes that Apple is “using video calls to direct Chinese colleagues through iPhone prototype assembly.” Mehdi Hosseini, an analyst with Susquehanna International Group, is reportedly expecting Apple to have component suppliers continue to manufacture iPhone parts as expected, while reassessing demand in May or June.

This pandemic’s economic impact can force users to check spending, resulting in low demand this fall for Apple’s flagship product.

Mehdi also says that extra modems or unsold 5 G iPhones could cut into the rich profit margins, so Apple should make some difficult decisions to avoid a deeper fall in income.